Century Bancshares, Inc. Announces First Quarter 2001 Earnings Up 26%

Apr 17, 2001, 01:00 ET from Century Bancshares, Inc.

    WASHINGTON, April 17 /PRNewswire/ -- Century Bancshares, Inc.
 (Nasdaq:   CTRY) announced today that net income, exclusive of after-tax merger-
 related expense (or "core" earnings), for the first quarter of 2001 was $545
 thousand, or $0.13 per diluted common share, a 26% increase compared with core
 earnings of $432 thousand, or $0.10 per diluted common share in the first
 quarter of 2000.  Core return on average assets was 0.54% and core return on
 average equity was 8.74%, compared with prior year ratios of 0.56% and 7.37%,
 respectively.  During the first quarter, Century completed its previously
 announced acquisition of GrandBanc, Inc. in a stock for stock exchange
 transaction valued at $9.3 million.  The transaction was accounted for as a
 pooling of interests and therefore all financial data has been adjusted
 accordingly.
     "We are encouraged by our first quarter core earnings performance and
 strong asset, loan and deposit growth," said Joseph S. Bracewell, Chairman,
 President and CEO. "Having completed the merger with GrandBanc, we will now
 focus our efforts on leveraging the strength of our newly combined
 organization.  With our expanded presence in Maryland and Northern Virginia as
 a result of the merger, we are enthusiastic about our prospects for continued
 growth and profitability."
     Including after-tax merger-related expenses of $1.516 million, Century
 reported a net loss of $971 thousand for the first quarter of 2001, or ($0.23)
 per diluted common share, compared with net income of $432 thousand, or $0.10
 per diluted common share in the same period last year.
     Total assets at March 31, 2001 were $415 million, an increase of $77
 million, or 23%, compared to $338 million one year earlier.  Total loans, net
 of unearned income, reached $273 million and total deposits were $331 million
 at March 31, 2001 reflecting increases of 36% and 21%, respectively, compared
 with March 31, 2000.  Upon adoption of SFAS 133 on January 1, 2001, Century
 elected to reclassify its entire held-to-maturity securities portfolio into
 the available-for-sale securities portfolio, which resulted in a transition
 adjustment that increased stockholders' equity on that date by $503 thousand,
 net of tax.
     Net charge-offs for the first quarter of 2001 were $687 thousand compared
 with $201 thousand for the same quarter last year.  Net charge-offs in 2001
 included $570 thousand in loans that were specifically reserved at December
 31, 2000.  Total nonperfoming loans increased to $3.145 million at March 31,
 2001 compared to $1.189 million at March 31, 2000.  Based on management's
 current assessment of collateral values and other factors, management expects
 to resolve these credits without incurring any material losses.
     Century Bancshares, Inc. is the parent company of Century National Bank
 and GrandBank, community banks which provide a full range of loans and
 financial services to professionals, small businesses, and non-profit
 organizations in the Washington, DC metropolitan area.
 
     This press release contains forward looking statements within the meaning
 of Section 27A of the Securities Act of 1933, as amended, and Section 21E of
 the Securities Exchange Act of 1934, as amended.  Although the Company
 believes that the expectations reflected in such forward looking statements
 are based upon reasonable assumptions, it can give no assurance that its
 expectations will be achieved.  Important factors that could cause actual
 results to differ materially from the Company's expectations are disclosed in
 its Form 10-K dated March 29, 2001, filed with the Securities and Exchange
 Commission and are incorporated by reference herein (Cautionary Disclosures).
 Subsequent written and oral forward looking statements attributable to the
 Company or persons acting on its behalf are expressly qualified in their
 entirety by the Cautionary Disclosures.
 
                            Century Bancshares, Inc.
                        Financial Highlights (Unaudited)
 
                                                           Quarter Ended
                                                             March 31,
     (Dollars in thousands, except per share amounts)    2001           2000
 
     Earnings Data:
     Interest Income                                   $7,827         $5,899
     Interest Expense                                   4,119          2,537
     Net Interest Income                                3,708          3,362
     Provision for Credit Losses                          240            225
     Net Interest Income After Provision                3,468          3,137
     Noninterest Income (1)                               602            432
     Noninterest Expense (1)                            3,245          2,859
     Income Before Income Tax Expense                     825            710
     Income Tax Expense                                   280            278
     Core Operating Income ("Core")                       545            432
     Merger-Related Expense Net of Income
      Tax Benefit                                      (1,516)             0
     Net Income (Loss)                                   (971)           432
 
     Per Share Data:
     Basic Earnings Per Share-Core                       $.13          $0.11
     Basic (Loss) Per Share-Net Income                  (0.24)          0.11
     Diluted Earnings Per Share-Core                     0.13           0.10
     Diluted (Loss) Per Share-Net Income                (0.23)          0.10
     Book Value Per Share (Period End)                   6.05           5.37
     Average Shares Outstanding (Basic)             4,102,203      4,066,042
     Average Shares Outstanding (Diluted)           4,160,680      4,143,302
     Shares Outstanding (Period End)                4,102,203      4,066,042
 
     Period End Balance Sheet Data:
     Total Assets                                    $415,484       $338,155
     Total Loans, Net of Unearned Income              272,771        200,583
     Allowance for Credit Losses                        2,761          2,233
     Total Earning Assets                             384,925        314,224
     Total Intangible Assets                            5,645          2,595
     Total Noninterest-Bearing Deposits                51,744         48,445
     Total Interest-Bearing Deposits                  279,691        225,068
     Total Deposits                                   331,435        273,513
     Total Other Interest-Bearing Liabilities          55,214         40,468
     Total Stockholders' Equity                        24,830         21,839
 
     Selected Key Data:
     Net Interest Margin                                 4.04%          4.73%
     Efficiency Ratio                                   70.68%         72.88%
     Return on Average Assets-Core                       0.54%          0.56%
     Return on Average Assets-Net Income (Loss)         (0.97)%         0.56%
     Return on Average Stockholders' Equity-Core         8.74%          7.37%
     Return on Average Stockholders' Equity-Net
      Income (Loss)                                    (15.57)%         7.37%
     Stockholders' Equity to Total Assets
      (Period End)                                       5.98%          6.46%
 
 
                            Century Bancshares, Inc.
                        Financial Highlights (Unaudited)
 
 
                                                         Quarter Ended
                                                            March 31,
     (Dollars in thousands, except per share amounts)    2001           2000
 
     Selected Average Balances:
     Loans (net)                                     $265,032       $199,057
     Investment Securities                            106,966         68.305
     Federal Funds Sold                                 6,582         10,463
     Interest Bearing Deposits in Other Banks           1,386          7,812
     Total Earning Assets                             379,966        285,637
     Total Assets                                    $407,780       $308,039
     Interest Bearing Deposits                       $273,504       $205,902
     Borrowings                                        52,450         28,070
     Total Interest Bearing Liabilities               325,954        233,972
     Noninterest Bearing Deposits                      52,345         46,660
     Total Deposits                                   325,849        252,562
     Total Liabilities                                382,481        284,448
     Stockholders' Equity                              25,299         23,591
     Total Liabilities and Equity                    $407,780       $308,039
 
     Allowance for Credit Losses:
     Balance - Beginning of Period                     $2,958         $2,209
     Provision for Credit Losses                          490            225
     Charge-offs                                          702            235
     Recoveries                                            15             34
     Balance - End of Period                           $2,761         $2,233
 
     Asset Quality:
     Nonaccrual Loans                                    $769           $564
     90 Days Past Due                                   2,376            511
     Other Real Estate Owned                                0            114
     Total Nonperforming Assets                        $3,145         $1,189
     Nonperforming Assets to Total Assets                0.76%          0.35%
     Allowance for Credit Losses to
      Nonperforming Assets                              87.79%        187.80%
     Allowance for Credit Losses to Total Loans          1.01%          1.11%
 
     (1) Certain reclassifications to prior year amounts have been made to
         conform with the current year presentation.
 
 

SOURCE Century Bancshares, Inc.
    WASHINGTON, April 17 /PRNewswire/ -- Century Bancshares, Inc.
 (Nasdaq:   CTRY) announced today that net income, exclusive of after-tax merger-
 related expense (or "core" earnings), for the first quarter of 2001 was $545
 thousand, or $0.13 per diluted common share, a 26% increase compared with core
 earnings of $432 thousand, or $0.10 per diluted common share in the first
 quarter of 2000.  Core return on average assets was 0.54% and core return on
 average equity was 8.74%, compared with prior year ratios of 0.56% and 7.37%,
 respectively.  During the first quarter, Century completed its previously
 announced acquisition of GrandBanc, Inc. in a stock for stock exchange
 transaction valued at $9.3 million.  The transaction was accounted for as a
 pooling of interests and therefore all financial data has been adjusted
 accordingly.
     "We are encouraged by our first quarter core earnings performance and
 strong asset, loan and deposit growth," said Joseph S. Bracewell, Chairman,
 President and CEO. "Having completed the merger with GrandBanc, we will now
 focus our efforts on leveraging the strength of our newly combined
 organization.  With our expanded presence in Maryland and Northern Virginia as
 a result of the merger, we are enthusiastic about our prospects for continued
 growth and profitability."
     Including after-tax merger-related expenses of $1.516 million, Century
 reported a net loss of $971 thousand for the first quarter of 2001, or ($0.23)
 per diluted common share, compared with net income of $432 thousand, or $0.10
 per diluted common share in the same period last year.
     Total assets at March 31, 2001 were $415 million, an increase of $77
 million, or 23%, compared to $338 million one year earlier.  Total loans, net
 of unearned income, reached $273 million and total deposits were $331 million
 at March 31, 2001 reflecting increases of 36% and 21%, respectively, compared
 with March 31, 2000.  Upon adoption of SFAS 133 on January 1, 2001, Century
 elected to reclassify its entire held-to-maturity securities portfolio into
 the available-for-sale securities portfolio, which resulted in a transition
 adjustment that increased stockholders' equity on that date by $503 thousand,
 net of tax.
     Net charge-offs for the first quarter of 2001 were $687 thousand compared
 with $201 thousand for the same quarter last year.  Net charge-offs in 2001
 included $570 thousand in loans that were specifically reserved at December
 31, 2000.  Total nonperfoming loans increased to $3.145 million at March 31,
 2001 compared to $1.189 million at March 31, 2000.  Based on management's
 current assessment of collateral values and other factors, management expects
 to resolve these credits without incurring any material losses.
     Century Bancshares, Inc. is the parent company of Century National Bank
 and GrandBank, community banks which provide a full range of loans and
 financial services to professionals, small businesses, and non-profit
 organizations in the Washington, DC metropolitan area.
 
     This press release contains forward looking statements within the meaning
 of Section 27A of the Securities Act of 1933, as amended, and Section 21E of
 the Securities Exchange Act of 1934, as amended.  Although the Company
 believes that the expectations reflected in such forward looking statements
 are based upon reasonable assumptions, it can give no assurance that its
 expectations will be achieved.  Important factors that could cause actual
 results to differ materially from the Company's expectations are disclosed in
 its Form 10-K dated March 29, 2001, filed with the Securities and Exchange
 Commission and are incorporated by reference herein (Cautionary Disclosures).
 Subsequent written and oral forward looking statements attributable to the
 Company or persons acting on its behalf are expressly qualified in their
 entirety by the Cautionary Disclosures.
 
                            Century Bancshares, Inc.
                        Financial Highlights (Unaudited)
 
                                                           Quarter Ended
                                                             March 31,
     (Dollars in thousands, except per share amounts)    2001           2000
 
     Earnings Data:
     Interest Income                                   $7,827         $5,899
     Interest Expense                                   4,119          2,537
     Net Interest Income                                3,708          3,362
     Provision for Credit Losses                          240            225
     Net Interest Income After Provision                3,468          3,137
     Noninterest Income (1)                               602            432
     Noninterest Expense (1)                            3,245          2,859
     Income Before Income Tax Expense                     825            710
     Income Tax Expense                                   280            278
     Core Operating Income ("Core")                       545            432
     Merger-Related Expense Net of Income
      Tax Benefit                                      (1,516)             0
     Net Income (Loss)                                   (971)           432
 
     Per Share Data:
     Basic Earnings Per Share-Core                       $.13          $0.11
     Basic (Loss) Per Share-Net Income                  (0.24)          0.11
     Diluted Earnings Per Share-Core                     0.13           0.10
     Diluted (Loss) Per Share-Net Income                (0.23)          0.10
     Book Value Per Share (Period End)                   6.05           5.37
     Average Shares Outstanding (Basic)             4,102,203      4,066,042
     Average Shares Outstanding (Diluted)           4,160,680      4,143,302
     Shares Outstanding (Period End)                4,102,203      4,066,042
 
     Period End Balance Sheet Data:
     Total Assets                                    $415,484       $338,155
     Total Loans, Net of Unearned Income              272,771        200,583
     Allowance for Credit Losses                        2,761          2,233
     Total Earning Assets                             384,925        314,224
     Total Intangible Assets                            5,645          2,595
     Total Noninterest-Bearing Deposits                51,744         48,445
     Total Interest-Bearing Deposits                  279,691        225,068
     Total Deposits                                   331,435        273,513
     Total Other Interest-Bearing Liabilities          55,214         40,468
     Total Stockholders' Equity                        24,830         21,839
 
     Selected Key Data:
     Net Interest Margin                                 4.04%          4.73%
     Efficiency Ratio                                   70.68%         72.88%
     Return on Average Assets-Core                       0.54%          0.56%
     Return on Average Assets-Net Income (Loss)         (0.97)%         0.56%
     Return on Average Stockholders' Equity-Core         8.74%          7.37%
     Return on Average Stockholders' Equity-Net
      Income (Loss)                                    (15.57)%         7.37%
     Stockholders' Equity to Total Assets
      (Period End)                                       5.98%          6.46%
 
 
                            Century Bancshares, Inc.
                        Financial Highlights (Unaudited)
 
 
                                                         Quarter Ended
                                                            March 31,
     (Dollars in thousands, except per share amounts)    2001           2000
 
     Selected Average Balances:
     Loans (net)                                     $265,032       $199,057
     Investment Securities                            106,966         68.305
     Federal Funds Sold                                 6,582         10,463
     Interest Bearing Deposits in Other Banks           1,386          7,812
     Total Earning Assets                             379,966        285,637
     Total Assets                                    $407,780       $308,039
     Interest Bearing Deposits                       $273,504       $205,902
     Borrowings                                        52,450         28,070
     Total Interest Bearing Liabilities               325,954        233,972
     Noninterest Bearing Deposits                      52,345         46,660
     Total Deposits                                   325,849        252,562
     Total Liabilities                                382,481        284,448
     Stockholders' Equity                              25,299         23,591
     Total Liabilities and Equity                    $407,780       $308,039
 
     Allowance for Credit Losses:
     Balance - Beginning of Period                     $2,958         $2,209
     Provision for Credit Losses                          490            225
     Charge-offs                                          702            235
     Recoveries                                            15             34
     Balance - End of Period                           $2,761         $2,233
 
     Asset Quality:
     Nonaccrual Loans                                    $769           $564
     90 Days Past Due                                   2,376            511
     Other Real Estate Owned                                0            114
     Total Nonperforming Assets                        $3,145         $1,189
     Nonperforming Assets to Total Assets                0.76%          0.35%
     Allowance for Credit Losses to
      Nonperforming Assets                              87.79%        187.80%
     Allowance for Credit Losses to Total Loans          1.01%          1.11%
 
     (1) Certain reclassifications to prior year amounts have been made to
         conform with the current year presentation.
 
 SOURCE  Century Bancshares, Inc.